Financial services Financial services is a broad

Transcript:Financial services Financial services is a broad:
Financial services Financial services is a broad range of more specific activities such as banking, investing, and insurance. Financial services are limited to the activity of financial services firms and their professionals, while financial products are the actual goods, accounts, or investments they provide. Objectives of Financial services Fund Raising : The required funds can be raised by the help of financial services from the host of investors, individuals, institutions and corporate. There are various instruments of finance being used for raising funds. These kinds of funds are required by the corporate houses, individuals, etc. 2) Funds Deployment : There are various kinds of financial services present in the financial markets which help the company in proper deployment of funds. It also helps in decision-making of financial mix. The financial service provide various types of services like bill discounting, factoring of debtors, shifting of short-term funds in the money market, credit rating, e-commerce and securitisation of debts for effective funds management. 3) Specialized Services : The various specialized services are being provided by financial service except banking and insurance like credit rating, venture capital financing, lease financing, factoring, mutual funds, merchant banking, stock lending, depository, credit cards, housing finance, book-building, etc. These services are provided by various kinds of institutions and agencies like stock exchanges, specialized and general financial institutions and non-banking finance companies, subsidiaries of financial institutions, banks and insurance companies. etc. 4) Regulation : There are various kinds of regulatory bodies present in India like Securities and Exchange Board of India (SEBI), Reserve Bank of India (RBI) and the Department of Banking and Insurance of the Government of India which have different types of legislation's and also help in providing various kinds of functions of financial services institutions. 5) Economic Growth : The financial services help in increasing the economic growth and development of country. It is done by the help of mobilizing the saving of the public by investing in productive investments. Due to this reason, the various developed and developing countries which are engaged in the effective financial market has increased the savings and investments. Types of financial services Lease Financing : A lease is known as the agreement between two parties known as lessor and lessee. The lessor is the owner of the asset and lessee is the user of the asset. In this agreement, there is transfer of asset from lessor to lesser for